What’s the price

The price It is the value in money at which the cost of something is estimated, be it a product, good or service.

The price It is usually measured by monetary units, to which a specific value has been assigned that varies from country to country, and which are used for the purchase and sale of goods and merchandise.

In this sense, price reflects the exchange relationship between goods and services accessible in the market, and as such is subject to the laws of the supply and demand and, in some cases, to its regulation by official bodies.

Depending on the demand for a product, the price assigned to it can go down or up. Thus, the price works as an economic indicator Referring to the production and consumption of a certain good, helping to ensure, in this way, the balance between supply and demand.

On the other hand, the word price It is also usual, in everyday language, to refer to the estimation or importance attributed to someone or something.

Price can also refer to effort or suffering that has been suffered to achieve something: “The price of fame.”

some types of price

lump sum

lump sum It is a concept related to the budgetary scope to carry out the calculation or estimation of the cost of a work, taking into account the inflationary index of the country. It is typical of works whose duration will be considerable (months, years), for which reason fluctuations in the prices of materials, services and labor are considered in the budget.

gross price

What gross price It is called the one in which no amount of money has been deducted, either by way of rebate, discount or tax.

You may be interested:  The 14 Basic Characteristics of Any Democracy

cost price

What cost price It is known that whose sale does not have any type of profit margin for the seller, that is, who sells at cost price does not receive any profit.

ask price

ask price It is what consumers are willing to pay in exchange for obtaining a certain product, good or service.

Right Price

In the area of ​​Law, the price is a concept that designates a monetary considerationliterally understood as money, and is valid as such in purchase-sale or lease contracts.

equilibrium price

The equilibrium price is that which a good reaches in the market as a result of the interaction between supply and demand, that is, the price at which producers are willing to offer a certain amount of goods, and that in turn consumers are willing to buy. This type of price is not regulated by official organizations.

Fixed price

What fixed price the value that has been assigned to a product or merchandise is known and is not subject to discounts or haggling.

FOB price

Price Free On Board or FOB, for its acronym in English, stands for ‘free on board price’. As such, it is an acronym used in international trade, and more specifically in that which uses ships as a means of transport, whether maritime or fluvial, and refers to the stipulated value for the sale of a merchandise whose transportation costs, tariffs, risks of transfer, and other expenses until the sale of the merchandise in question, are borne by the buyer.

list or sale price

The list pricealso known as sale price, is the cost at which the value of a product for sale has been estimated, without considering deductions for discounts or tax additions. As such, it is the price that the manufacturer suggests to the merchant and which earns the latter a profit margin.

You may be interested:  What is the Trade Balance: What it Measures and Examples

See also Sale.

Market price

What market price the one to which real purchase-sale operations occurred is designated.

Net price

The Net price It is one that a consumer pays for a product or service for which deductions and rebates have already been made, and taxes have been discounted.

Offer price

What offer price It is designated the one that a seller has established for the sale of his merchandise or products.

Unit price

The unit price It is the one that has been assigned to each product unit for its detailed sale.